JJB Sports profits jump

Sportswear retailer JJB Sports plans to step up its game in order to challenge this year's tough competition on the high street.

Despite generating a profits jump of 14pc last year, to £38.5m, the group said this year it won't enjoy the benefits from the World Cup. It admitted that revenues were boosted mainly by strong sales of FIFA World Cup replica kit and new kits launched by the major FA Premiership clubs. JJB, which also runs health clubs, said annual revenues were up 7.3pc, to £51.2m.

England fans alone generated £35.3m worth of the revenue from replica products, while equipment and accessories accounted for £10.4m.

The figures are the first to reflect sales of Glasgow Rangers' products, the licence for which was acquired in June 2006.

The retailer said its "serious about sport" strategy is progressing well, and claims it sets the group apart from its competitors.

The strategy includes the creation of separate Adidas and Nike in-store zones.

The group said this, together with growth in its leisure arm, has made a "significant contribution" to the years' results.

Last year JJB opened 13 new sites, including seven combined health club-superstores, three superstores and two football stores acquired from Glasgow Rangers and Everton. It now has 416 stores nationwide and plans to open a further 17 sites this year.

Roger Lane-Smith, non-exectuive chairman, said: "The current year will continue to be very competitive. However, we will continue with the fitting-out of our Adidas and Nike areas, whilst at the same time pushing forward with the expansion of our Leisure Divison."